Malaysia introduces Budi Madani RON95 subsidy, offering petrol at RM1.99 per litre with a 300-litre monthly cap for citizens aged 16 and above.

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Malaysians with valid driving licences will soon be able to enjoy subsidised RON95 petrol at RM1.99 per litre, following the government’s introduction of the new Budi Madani RON95 (BUDI95) initiative.
Prime Minister Datuk Seri Anwar Ibrahim said the programme, which takes effect on September 30, is expected to benefit some 16 million Malaysians. He explained that income level would not be a factor in determining eligibility, making the initiative accessible to a wide range of motorists, similar to the recently implemented RM100 Sara aid.
Motorists will be required to verify their MyKad at petrol stations to access the subsidised price. However, the government has also enabled digital integration through the Touch ‘n Go and Petronas Setel applications, allowing users to bypass the need for repeated MyKad presentations during every transaction.

The subsidy, however, will not apply to non-citizens and large companies, who will be required to pay the full, unsubsidised rate, currently estimated at RM2.60 per litre. Anwar noted that even this figure remains comparatively lower than in several neighbouring countries, including Saudi Arabia (RM2.61 per litre), Indonesia (RM3.22 per litre), the Philippines (RM4.22 per litre), Thailand (RM5.68 per litre), and Singapore (RM9.02 per litre).
Certain groups will receive early access to the subsidy, with police and military personnel set to enjoy the new fuel price from September 27, while recipients of Sumbangan Tunai Rahmah (STR) will gain access a day later. The wider public will then follow on September 30.

Anwar stressed that the BUDI95 initiative reflects the government’s commitment to easing the burden of living costs while upholding the Madani framework. He added that the move demonstrates Malaysia’s determination to strike a balance between economic sustainability and the welfare of its people.


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